Analysis of the Impacts of Entrepreneurship Development on Unemployment in Nigeria

Abstract

Abstract

The research investigated the relationship between the growth of entrepreneurship and
unemployment in Nigeria by utilizing annual time series data covering the years 1980–2023. The
Autoregressive Distributive Lag (ARDL) model was utilized in the paper to establish the
connection between unemployment and the growth of entrepreneurship in Nigeria. The population,
inflation rates, economic growth, and the development of entrepreneurship are among the variables
used. The findings showed that there is a short-run negative and significant association between
the growth of entrepreneurship and unemployment. There is a long-run positive and significant
relationship between economic growth and unemployment in Nigeria exists no relationship
between unemployment and population growth over the long-run. Results also confirmed positive
and statistically significant linkage between inflation rates and the level of unemployment in the
short run in Nigeria, but then again with no long run impact. The study suggested need for
government to reform the entrepreneurship centers in the state by providing adequate infrastructure
necessary for enhancing entrepreneurship such as Centre where youth can learn entrepreneurship
skills.